CEO Ed Gildea bought 2000 shares COIN recently for around $7.5 and the CFO bought 1000 for $7.87
The VP of sales and marketing recently filed to sell part of his shares received from the 2006 stock option grant but these shares are part of his employee compensation. It's very likely he needed the income to pay his bills. Apparently his regular compensation - salary, bonus - has been accrued. In other words he's not yet been paid.
And his shares have been off restriction since December 31, 2007 so he could have sold all of his stock and much sooner and for much higher price. Yet he chose to sell only part of his shares received through the 2006 stock option grant. Obviously he's been reluctant to sell even though he may need the income. Otherwise he would have sold much sooner for a much higher price. And he would have sold all rather than just part.
A total of 653,000 shares were granted as part of the 2006 stock option grant yet only 133,000 shares were filed for potential sale.
All 653,000 share came off restriction December 31, 2007 so these shares could have been sold earlier and at much higher price levels than the current market offers.
Also, it appears the management, including the VP Sales and marketing are not being paid a salary directly but instead have been receiving accrued income. In other words, it appears they've not yet been paid.
Apparently the management has been making great sacrifices to stay with the company, since compensation has been in the form of accrued salary and stock option grants. Considering only a small portion of the stock portion of the compensation is being filed for potential sale, this speaks directly to the conviction management has about the great potential for COIN to grow their business and increase share price.
If they believed otherwise, it's doubtful they would have accepted accrued compensation and they would have cashed in their stock much sooner and at much higher prices rather than waiting for the shares to decline in value. And they would have sold all stock granted through option grants instead of a small percentage. Also, the CEO and CFO would not have been buying shares, they would have been selling their stock from option grants.
Please Note: I went through the SEC filings swiftly to find this information and may have made mistakes in the details I've posted. So don't take my comments as audited fact. Check the details for yourself. I looked for evidence of payment of salaries and bonus but found the accrued payments instead for 2007 and Q1 2008. Again, I scanned through the documents swiftly and may have overlooked evidence of payment in 2007 and Q1 of 2008 rather than the statement of accrued payment of compensation to management.
However if my post is accurate, it appears the management has a very strong belief that COIN will succeed and they have been willing to make large sacrifices to see the company through to its full potential.
I'm a little concerned that the market won't differentiate compensation from selling shares at a low for the non-MB crowd.
I do believe Monday will snap back and COIN can perhaps ride the tide.
Management has got to understand the impact of this insider sell and perhaps try to counter it with good news, or perhaps try to qualify it as compensation. The later, i feel would not work to buoy the PPS.
I can understand your concern about the sale but I don't see the filing or a sale as a negative but that's just my opinion. In fact, I see it as a positive because they could have sold months ago at much higher price. There was an obvious reluctance to sell.
If shareholders or potential shareholders fail to take this into consideration, they're not likely to be sophisticated enough to buy the size position that will matter to the price anyway.
I go into more detail in a reply to ryder's post with my name in his title if you are interested.
Just remember, it's in reply to ryder and not to your question. Don't be offended by the tone.